Solana is gaining momentum following a breakout from an inverted head and shoulders pattern.
As Canada prepares to launch the first spot SOL ETFs, bulls are targeting the $150 and $200 levels.
Currently trading at $132, Solana has posted over 20% growth in the past seven days. Following a brief dip below $100, the recovery rally confirmed a bullish breakout pattern. Could growing support for Solana push prices to $200?
Solana Price Analysis
On the 4-hour chart, SOL shows a bullish reversal from $97, coinciding with a market recovery after a 90-day pause in the tariff war. Solana’s breakout past the $122 supply zone confirmed the inverted head and shoulders pattern.
At present, Solana’s price action has shifted sideways, finding support along the 200 EMA on the 4-hour timeframe. A sudden surge in buying momentum has also triggered a bullish crossover between the 50 and 100 EMA lines.
However, as Solana consolidates above the $130 mark, waning momentum is flashing warning signs of a potential bearish reversal. This is highlighted by a negative crossover in the MACD and signal lines.
Despite this, the recent rebound, marked by three consecutive bullish candles, indicates a possible rally continuation.
Short-Term Bearish Sentiment Suggests Increasing Bullish Struggles
Declining Solana open interest suggests weakening trader engagement amid broader market uncertainty. According to Coinglass, open interest currently stands at $4.79 billion, reflecting a 3.15% drop in the past 24 hours.
Additionally, the funding rate remains at -0.0026%, indicating rising bearish sentiment. The long/short ratio has slipped slightly to 0.97 over the last 24 hours, indicating a modest increase in short positions.
Solana Spot ETFs Launching in Canada
Amid Solana’s short-term recovery, the upcoming launch of spot Solana ETFs in Canada reinforces bullish expectations. In a recent tweet, Bloomberg ETF analyst Eric Balchunas confirmed that Solana ETFs are set to become a reality this week.
The Ontario Securities Commission (OSC) has approved multiple issuers—including Purpose, Evolve, CI, and 3iQ—to launch Solana ETFs. The world’s first spot Solana ETFs will debut tomorrow, April 16, 2025.
Will SOL Price Reach $200?
As the breakout rally builds momentum above the 200 EMA, the anticipated ETF launch could further fuel bullish sentiment. Based on Fibonacci levels, the ongoing uptrend will likely challenge the $150 supply zone near the 50% retracement level.
A successful breakout above $150 could shift the focus to the $200 price target. Conversely, the key support to watch is at $116.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
